VANCOUVER, BRITISH COLUMBIA – September 13, 2018: New Pacific Metals Corp. (“New Pacific” or the “Company”) today announced its audited consolidated financial results for the year ended June 30, 2018.

This earnings release should be read in conjunction with the Company's Management Discussion & Analysis, Financial Statements and Notes to Financial Statements for the corresponding period, which have been posted under the Company’s profile on SEDAR at www.sedar.com and are also available on the Company's website at www.newpacificmetals.com. All figures are expressed in Canadian Dollars (CAD) unless otherwise stated.

FISCAL 2018 HIGHLIGHTS
Completed the Alcira acquisition becoming owner of the Silver Sand Property in Bolivia for a total cash consideration of US$45,000,000;

Successfully received exploration permits for the Silver Sand Property in October 2017 and immediately commenced a 30,000 metre exploration drilling program; and

Raised US$57,002,700 through three private placements including strategic financing with Pan American Silver Corp. and Silvercorp Metals Inc. as a part of the funding source of the acquisition and exploration for the Silver Sand Property.

FISCAL 2018 FINANCIAL SUMMARY
Net loss attributable to equity holders of the Company for the year ended June 30, 2018 was $4,106,450 or $0.03 per share (year ended June 30, 2017 - net income of $1,372,544 or $0.02 per share). The Company’s financial results were mainly impacted by the following: (i) loss from investments of $1,539,759 compared to income of $3,032,548 in the prior year, and, (ii) operating expenses of $3,103,712 compared to $2,107,187 in the prior year.

Loss from investments for the year ended June 30, 2018 was $1,539,759 (year ended June 30, 2017 - income of $3,032,548). Within the loss from investments, $1,081,767 was loss on the Company’s equity investments and $472,432 was loss from fair value change on bonds net of interest earned.

Operating expenses for the year ended June 30, 2018 was $3,103,712 (year ended June 30, 2017 - $2,107,187). The increase in operating expenses was a result of the Company’s increased activity.

Foreign exchange gain for the year ended June 30, 2018 was $470,966 (year ended June 30, 2017 - foreign exchange loss of $78,944). The Company holds a large portion of cash and cash equivalents and bonds in US dollars while the Company’s functional currency is Canadian dollar. The fluctuation in exchange rates between the US dollar and Canadian dollar will impact the financial results of the Company. During the year ended June 30, 2018, the US dollar appreciated by 1.5% against Canadian dollar (from 1.2977 to 1.3168) while in the prior year the US dollar depreciated by 0.2% against Canadian dollar (from 1.3009 to 1.2977).

FOURTH QUARTER FINANCIAL SUMMARY
For the quarter ended June 30, 2018 (“Q4 Fiscal 2018”), the Company reported net loss attributable to equity holders of $1.20 million or $0.01 per share, compared to net loss of $1.55 million or $0.02 per share for the quarter ended June 30, 2017 (“Q4 Fiscal 2017”).

Major financial items impacting the fourth quarter financial results were as follow: (i) loss from investments of $995,797 in Q4 Fiscal 2018 compared to loss from investments of $708,806 in Q4 Fiscal 2017; (ii) operating expenses of $616,622 in Q4 Fiscal 2018 compared to $756,523 in Q4 Fiscal 2017, and (iii) foreign exchange gain of $406,203 in Q4 Fiscal 2018 compared to foreign exchange loss of $524,096 in Q4 Fiscal 2017.

SILVER SAND PROPERTY
In October 2017, the Company successfully received exploration permits required by the relevant Bolivian government authorities and immediately commenced a 30,000 metre exploration drilling program on the Silver Sand Property. For the year ended June 30, 2018, total expenditures of $6,553,301 were capitalized under the property. These expenditures were mainly related to the drilling program, site and camp preparation, and building a competent management team and workforce for the property.

ABOUT NEW PACIFIC

New Pacific Metals Corp. is a Canadian exploration and development company which owns the Silver Sand Project, in the Potosi Department of Bolivia, the Tagish Lake Gold Project in Yukon, Canada and the RZY Project in Qinghai Province, China.